Natera, Inc. (NASDAQ:NTRA) CEO and President Steven Leonard Chapman has recently engaged in transactions involving the company's stock, according to the latest SEC filings. Chapman sold a total of 2,552 shares of common stock on April 23, 2024, at an average price of $91.3792, netting a total of approximately $233,199.
The transactions occurred in a series of events that began on April 20, when Chapman acquired 3,386 shares of Natera common stock. This was followed by another acquisition of 1,775 shares on April 21. These shares were obtained through the vesting of Restricted Stock Units (RSUs), each representing a contingent right to receive one share of Natera's Common Stock. The RSUs vest over four years, with a portion vesting on specific anniversaries in January and the remaining shares vesting in equal quarterly installments.
On April 23, Chapman disposed of 2,552 shares. The sale was conducted to satisfy tax withholding and remittance obligations in connection with the vesting of RSUs. This sale was made pursuant to a written instruction that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act, as contained in the Reporting Person's Stock Unit Agreements granted on January 22, 2021, and January 28, 2022.
Following these transactions, Chapman's ownership in the company stands at 230,319 shares of common stock directly owned. Additionally, he holds 5,324 shares in the form of RSUs that will convert into common stock upon vesting.
Investors often monitor insider transactions as they can provide insights into executives' perspectives on the company's current valuation and future prospects. Insider buying can be interpreted as a sign of confidence in the company's future, while selling might suggest the opposite, although it often occurs for personal financial management reasons unrelated to company performance.
Natera, Inc. specializes in genetic testing and diagnostics with a focus on women's health, oncology, and organ health. The company is headquartered in Austin, Texas, and is incorporated in Delaware.
InvestingPro Insights
Natera, Inc. (NASDAQ:NTRA) has shown a remarkable performance in the stock market with a strong return over the last three months, as indicated by a 35.06% price total return, and an even more impressive six-month price total return of 117.23%. This upward trend is further evidenced by a one-year price total return of 67.19%, showcasing the company's significant growth in investor confidence. InvestingPro Tips reveal that Natera has been trading at a high Price / Book multiple of 14.76, which suggests that investors may be expecting future growth or that the company's assets are highly valued.
Despite not having paid dividends to shareholders, which is a common trait for companies focused on reinvesting earnings into growth, Natera's financial health appears robust. The company's liquid assets have been reported to exceed its short-term obligations, providing it with a cushion to manage its financial responsibilities effectively. Moreover, Natera operates with a moderate level of debt, which can be a positive sign for investors looking for a balance between growth and financial stability.
Investors should note, however, that analysts do not anticipate the company will be profitable this year. This is reflected in the negative P/E Ratio (Adjusted) of -25.98 for the last twelve months as of Q4 2023. Nevertheless, the company's revenue growth remains strong, with a 31.99% increase over the last twelve months and an even higher quarterly growth rate of 43.2% for Q4 2023.
For more detailed analysis and additional InvestingPro Tips, investors can visit https://www.investing.com/pro/NTRA. There are 10 more tips available that could provide further insights into Natera's performance and potential. To access these insights, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.